Tesla has launched new, entry-level versions of the Model 3 and Model Y in the US, bringing starting prices down by roughly $5,000: the Tesla Model Y Standard will now start at $39,990, while the Tesla Model 3 Standard starts at $36,990.
Despite the price cut, both cars are said to be the most efficient Teslas yet, claiming up to 321 miles on the tough US 'EPA' test. The EPA test is America's answer to Europe's standardised WLTP efficiency tests, and is typically a bit tougher and results in lower claimed range and efficiency. It means that the new, entry-level Model 3 and Model Y could well manage WLTP range of around 350 miles when they arrive in the UK. That isn't expected to happen for a while, so don't expect to see these models on sale in the UK until later in 2026.
Battery sizes haven’t been confirmed, but the pair are likely to use the same 60kWh battery pack found in today’s rear-wheel-drive models, which already manage 311 miles (Model Y) and 323 miles (Model 3) on the WLTP cycle.
The extra range has been achieved courtesy of tweaked aerodynamics, and we suspect that both the Model 3 and Model Y will have lost some weight, too, thanks to pared-back equipment. For the Model 3 and Model Y Standard, the faux leather is swapped for part-cloth seats, and the centre console has been shortened, giving the cabin a more open feel (similar to the Cybertruck). There’s no physical key, either – access and start-up are all handled via your smartphone.
Otherwise, it’s business as usual for Tesla’s tech. The 15.4-inch central touchscreen still runs the show, with remote climate control, Sentry Mode, Dog Mode and Autopilot all included. And the American company also just announced that the Model 3 will get a traditional indicator stalk - replacing the steering wheel buttons that it's had since the update a few years ago.
Production of the Standard models will begin in the US, with plans to expand to Berlin for European cars. A Shanghai-built version looks unlikely given the EU’s tariffs on Chinese-made EVs.
When they do arrive in Europe and the UK, the new 'Standard' Tesla models are expected to replace the current rear-wheel-drive models, streamlining Tesla’s line-up across all markets.
The launch couldn’t come at a more crucial time for Tesla. The brand’s sales dropped 13% globally between April and July 2025, while revenue fell 12% to $22.5 billion in the same quarter, so a pair of cheaper, more efficient Teslas could be just what’s needed.
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